Chevron invests US$2 billion in Africa

July 31, 2012 | Africa, Budget & Investment

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US energy giant Chevron has announced plans to invest US$2bn in its Lianzi project, straddling the borders of Angola and the Republic of the Congo.

The development sits a little over 100 km offshore, in around 900 m of water. It will include a subsea production system connected to a platform in Angolan waters. The first oil is expected to be produced in 2015, operating at a maximum capacity of 46,000 boe/d.

“As the first cross-border development in the region, Lianzi represents a unique cooperative approach to shared offshore resources and may serve as a model for the development of similar cross-border fields between the two countries,” says Ali Moshiri, president of Chevron’s African and Latin American exploration and production unit.

The Lianzi project is Chevron’s first project in the Republic of the Congo, and is coming in a year later and with 1,000 boe/d less production than the company had originally predicted. It says this is simply a result of refining their estimates as the decision drew nearer.

Chevron will operate the project, and holds a 31.25% stake in it. French oil major Total owns 36.75%, Italy’s Eni and Angola’s own Sonangol both hold 10%, Congolese firm SNPC 7.5% and Portugal’s GALP 4.5%.